AN ACT REQUIRING A STUDY OF NATURAL GAS RATES FOR COMMERCIAL AND AGRICULTURAL CUSTOMERS.

Plain English Breakdown

The official text does not specify an effective date in the metadata section provided, though Section 1 states it is effective October 1, 2026.

Study on Natural Gas Rates for Commercial and Farm Customers

This law requires the Commissioner of Energy and Environmental Protection to study if demand charges unfairly raise natural gas bills for commercial and agricultural customers with intermittent peak monthly demand.

What This Bill Does

• Requires a study of natural gas rates, including any applicable demand charges, for specific customer groups.
• Determines if current rates fairly reflect how much these customers actually use the gas due to demand charges.
• Asks the commissioner to suggest new ways to calculate or apply charges only if they are found to unfairly increase rates.
• Mandates that a report with findings and recommendations be sent to lawmakers by January 15, 2027.

Who It Names or Affects

• Commercial natural gas customers who have intermittent peak monthly demand.
• Agricultural natural gas customers who have intermittent peak monthly demand.
• The Commissioner of Energy and Environmental Protection.
• The joint standing committee on energy and technology in the General Assembly.

Terms To Know

Demand charges

Fees included in natural gas rates that are based on peak usage levels rather than just total amount used.

Intermittent peak monthly demand

A pattern where customers use large amounts of natural gas only during certain times or months instead of steadily all year long.

Limits and Unknowns

• The law does not change any rates immediately; it only orders a study to be done.
• It is unknown if the commissioner will find that current charges are unfair until the report is finished.
• No specific changes to billing rules take effect unless lawmakers act on the recommendations later.

Official Summary Text

To require the Commissioner of Energy and Environmental Protection to conduct a study of rates for commercial and agricultural natural gas customers who have intermittent peak monthly demand.

Current Bill Text

Senate Bill No. 246

Special Act No. 26-4

AN ACT REQUIRING A STUDY OF NATURAL GAS RATES FOR
COMMERCIAL AND AGRICULTURAL CUSTOMERS.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:

Section 1. (Effective October 1, 2026) The Commissioner of Energy and
Environmental Protection shall conduct a study of natural gas rates,
including, but not limited to, any applicable demand charges, for
commercial and agricultural natural gas customers who have
intermittent peak monthly demand to determine if a significant number
of such customers are charged rates that do not fairly reflect such
customers' use due to such demand charges. If the commissioner
determines that such demand charges have the effect of unfa irly
increasing rates for such customers, the commissioner shall provide
detailed recommendations concerning how such charges may be
recalculated or otherwise applied to such customers. Not later than
January 15, 2027, the commissioner shall submit a report, in accordance
with the provisions of section 11-4a of the general statutes, that contains
such recommendations to the joint standing committee of the General
Assembly having cognizance of matters relating to energy and
technology.
Governor's Action:
Approved May 11, 2026